House Delays Vote on Taxing Districts Measure

The Kentucky House is voting today on legislation that would strengthen oversight of the state's more than 1,200 local taxing districts. The vote was postponed yesterday. The House Committee on Local Government approved the legislation Wednesday. The measure sets up a system for auditing the taxing districts, which spend some $2.7 billion a year to operate rural fire departments, airports, sanitation districts and even libraries. It would also create an online database where taxpayers could review financial reports for each taxing district.

Auditors have identified more than 1,200 taxing districts that collect $1.5 billion in taxes and fees each year, plus a billion in government grants and private donations.

Taken together, Kentucky's special taxing districts spend more money than the state spends on Medicaid and infrastructure -- and nearly half of those districts are not following rules on filing budgets or submitting audits, said a report from State Auditor Adam Edelen released Wednesday.